Economy - overview Economic progress in the West Bank has been hampered by tight Israeli security restrictions. Industries using advanced technology or requiring sizable investment have been discouraged by a lack of local capital and Israeli policies that block the movement of goods and people. Capital investment consists largely of residential housing, not productive assets that would enable local Palestinian firms to compete with Israeli industry. GDP has been substantially supplemented by workers who commute to jobs in Israel. Worker remittances from the Persian Gulf states dropped after Iraq invaded Kuwait in August 1990. In the wake of the Persian Gulf crisis, many Palestinians have returned to the West Bank, increasing unemployment, and export revenues have dropped because of the decline of markets in Jordan and the Gulf states. An estimated 147,000 people were in refugee camps in 1996.

GDP purchasing power parity - $2.8 billion (1996 est.)

GDP - real growth rate -6.9% (1996 est.)

GDP - per capita purchasing power parity - $1,600 (1996 est.)

GDP - composition by sector
agriculture: 33%
industry: 25%
services: 42% (1995 est., includes Gaza Strip)

Inflation rate - consumer price index 8.4% (1996 est.)

Labor force NA
by occupation: agriculture 13%, industry 13%, commerce, restaurants, and hotels 12%, construction 8%, other services 54% (1996)
note: excluding Israeli settlers

Unemployment rate 28% (1997 est.)

Budget
revenues: $684 million
expenditures: $779 million, including capital expenditures of $NA (1996)
note: includes Gaza Strip

Industries generally small family businesses that produce cement, textiles, soap, olive-wood carvings, and mother-of-pearl souvenirs; the Israelis have established some small-scale, modern industries in the settlements and industrial centers

Industrial production growth rate NA%

Electricity - capacity NA kW
note: most electricity imported from Israel; East Jerusalem Electric Company buys and distributes electricity to Palestinians in East Jerusalem and its concession in the West Bank; the Israel Electric Company directly supplies electricity to most Jewish residents and military facilities; at the same time, some Palestinian municipalities, such as Nabulus and Janin, generate their own electricity from small power plants

Electricity - production NA kWh
note: most electricity imported from Israel; East Jerusalem Electric Company buys and distributes electricity to Palestinians in East Jerusalem and its concession in the West Bank; the Israel Electric Company directly supplies electricity to most Jewish residents and military facilities; at the same time, some Palestinian municipalities, such as Nabulus and Janin, generate their own electricity from small power plants

Electricity - consumption per capita NA kWh

Agriculture - products olives, citrus and other fruits, vegetables; beef, dairy products

Exports
total value: $630 million (f.o.b., 1997 est.) (includes Gaza Strip)
commodities: olives, fruit, vegetables, limestone
partners: Jordan, Israel

Imports
total value: $1.7 billion (c.i.f., 1997 est.) (includes Gaza Strip)
commodities: food, consumer goods, construction materials
partners: Jordan, Israel

Debt - external $51 million (1995)

Economic aid
recipient: ODA, $NA

Currency 1 new Israeli shekel (NIS) = 100 new agorot; 1 Jordanian dinar (JD) = 1,000 fils

Exchange rates new Israeli shekels (NIS) per US$1 - 3.5340 (December 1997), 3.4494 (1997), 3.1917 (1996), 3.0113 (1995), 3.0111 (1994), 2.8301 (1993); Jordanian dinars (JD) per US$1 - 0.7090 (January 1998), 0.7090 (1997), 0.7090 (1996), 0.7005 (1995), 0.6987 (1994), 0.6928 (1993)

Fiscal year calendar year (since 1 January 1992)

NOTE: The information regarding West Bank on this page is re-published from the 1998 World Fact Book of the United States Central Intelligence Agency. No claims are made regarding the accuracy of West Bank Economy 1998 information contained here. All suggestions for corrections of any errors about West Bank Economy 1998 should be addressed to the CIA.